Tips on finding and buying a house according to funds

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1. Lender: Step one – meet with a lender FIRST to find out if you qualify to buy and how much you can afford.

2. Income:
Spending no more than one fourth of your income for your home is best.
That way you can afford other expenses and, hopefully, keep your home if
one partner looses their job.

3. Plan ahead:
Make a wish list. Start with what would you love in your home, then
narrow down to what you must have. For example, a fireplace is an
absolute must have for me. I don’t bother looking at homes without one
because I would not be happy living without a fireplace. Minor? Maybe,
but not to me.

4. Location: Do you need to be
close to work, to schools, to restaurants, to movie theaters? What’s
important to your lifestyle? A little extra driving to work may seem
like only a minor inconvenience when you find a home you love further
out than you’d planned. But, after six months of driving that extra 25
minutes each way, you may not be thrilled with the idea of living in
that location for the next 5-10 years. And, what’s it like to get home
at rush hour?

5. Schools: I’ve had people say,
“oh, we don’t care about the schools, we don’t have children.” Well, you
may someday. And, even if they’re grown and gone, good school districts
are a huge influence on how quickly you’ll be able to sell your home
later.

6. Sunlight: Drive by the house you’re
considering at different times of the day. Where does the sun shine into
the windows at different times? Do you want plants to bloom in your
family room? If so, the room better get plenty of light! Sunlight also
impacts things like moss and mold growth.

7. Noise:
If the neighborhood is quiet at 10am when you view it with your
realtor, is it still quiet at 4pm when the kids are all home from
school? What is it like in the evenings?

8. Closing Costs:
Get good information about all of your closing costs to avoid surprises
at the closing table. Surprises at closing are, unfortunately, not
uncommon.

10. Repairs: Nine
times out of 10, there will be repair costs. No home is perfect. Doors
may not shut (or stay open), faucets may drip, toilets may run. Expect
to find a number of fairly minor annoyances that you will want to fix
when you begin living in your new home.

Buying a home is an exciting time. It can also be stressful! Hopefully, these tips will help you avoid some of the stress.

What can you add? What did you learn?

I’ve currently buy about 60 houses per year, 80 percent of which I
wholesale – the rest we rehab or hold for our rental portfolio.

We,
so often, become, so emotionally involved, with the concept of home
ownership, that, we overlook, and forget about, the necessary details,
involved, in properly planning, for, buying a house. When one seeks a
house, based on, meeting many needs, goals, and priorities, and
considering, present realities, and foreseeable contingencies, he,
generally, remains happy, with his decision. Since, for most of us, our
house represents our single – biggest, financial asset, doesn’t it make
sense, to be well – prepared, and fully plan, for the process? With that
in mind, while accepting there are many emotional considerations
involved (Why would someone want to live somewhere, which doesn’t make
him satisfied or happy?), this article will attempt to consider,
examine, review, and discuss, some basic essentials of financial
planning, for owning a house, of one’s own.

1. Before you begin your search: The
better you plan, the easier this process becomes! At least six months,
before, you begin your search, either, personally, review your Credit
Report, for accuracy, etc, or, consult a recommended, mortgage
professional, and ensure, you optimize your credit – worthiness. The
better, your credit, the easier the process, of getting the needed loan,
as well as, qualifying, for the lowest possible, available rate.
Remember, the lower the rate, you pay, the more house – for – your –
dollars!

2. Down – payment, and closing expenses/ costs: Since
most people, depend on financing (generally via a mortgage loan), you
will need, to save, for the down – payment. Most conventional loans ask
for 20% down (although some require less), and you must have these
funds, liquid, and available. In addition, you will have to pay, a
significant amount in closing costs, including, pre – paid real estate
taxes and utilities, filing fees, title (title and title insurance),
legal costs, etc.

3. Reserves: Will owning a
home, of your own, be your American dream, or some sort of nightmare?
When prospective homeowners, realize, and commit to the need, to
maintain reserves, especially for: a) Unanticipated needs for monthly
payments (6 – 9 months reserve is recommended); b) repairs (regular); c)
major repairs/ unanticipated; d) maintenance; and, e) renovations, they
experience a far lower degree of stress, and tension, during the home
ownership experience.

A smart, well – prepared, homeowner, is far
more ready, and able, to enjoy, the positives of owning, a home, of
one’s own! Will you be a prepared owner, or, cause yourself, lots of
extra, unnecessary stress and tension?

Buying
a house always reach its climax when price is talked about it. Despite
exerting efforts to find homes that are reasonably priced, there will
always surface as overpriced. What can you do with them? Or is there
something you can really do?

Technically, you can’t do anything
about it. Price tags are the decisions of sellers. But realistically,
you can make lower offers. In that sense, you are entering into
negotiations which may or may not prosper.

If you’re just
beginning to look for a house to buy, you can check with the agents how
many days the house has been on the market. According to real estate
insiders, when a house stays in the market for more than two months,
there is something wrong with its price tag.

Further, those homes
are also those whose owners may not still be ready to let go. There are
strong emotions attached to ownership which may be pushing them to have
an over price.

Spotting overpriced homes requires a lot of
evaluation. If you are keen enough, you can see how much is the
difference of two homes for sale in the same neighborhood. This assuming
that both have the same floor area and total area, slightly differing
in architectural design and amenities.

Location also plays an
important part when telling that a house is overpriced. Despite
similarities in footprint, differences in price may exist when site is
considered. What could be a cheaper priced house in the inner part of
the community may be more expensive near the entrance of a gated
community since it is more accessible from main roads, shopping
districts, government offices, and service providers.

Overpriced
homes tend to stay longer in the seller’s market. Taking this cue, what
you can do is to turn its price into an anchor to make lower offers.
Yet, make sure you are not offering figures that may seem insulting to
the owner. You also have to ready yourself and give reasons for lowering
your offer.

Buying a house requires some mathematical analysis, comparisons and calculations. If for these reasons, you tend to be in doubt whether a house you are going to buy is overpriced or not, you can always tap the services of your local real estate agent. Their expertise in handling multiple buy and sell from different clients is already an assurance that you can spot and buy an ideal house that is within your economic capabilities.

Wouldn’t it be nice, and make more sense, if, potential homeowners, fully considered, the essentials of FINANCES,
and planned, accordingly, to achieve their finest goals, expectations,
and needs? Since, for most of us, the value of our house, represents our
single – biggest, financial asset, shouldn’t we prepare, as well as
possible, and proceed, with, eyes – wide – open? With that in mind, this
article will briefly consider, examine, review, and discuss, using the
mnemonic approach, why this, so often, makes the difference, between
truly enjoying owning a home, and becoming overwhelmed, and needlessly,
stressed, by the day – to – day, obstacles, of home ownership.

1. Funding; future: If
we, first, examine and consider, as many areas of funding, etc, as
possible, we reduce much unnecessary, and avoidable stresses, and
hassles. Prepared homeowner, look, at both, current, as well as future
needs, and structure, a relevant, quality, financial plan. Most only
consider the need for having a down – payment, but overlook the
necessary, future reserves, for repairs, renovations, upgrades,
maintenance, and, in case of an unforeseen setback. Doing so, requires, a
large degree of focus, and discipline!

2. Intentions: Know
your personal intentions, before buying a house. Are your plans, to
keep it for the longer – term, or, simply, as a starter home? This will
dictate, the best way, to organize your personal finances, as it relates
to owning a home, of your own!

3. Needs: Do you
know, both, your present needs, as well as probable future ones? Those
who plan, accordingly, are usually, best – prepared, and enjoy home
ownership, in a less stressful way!

4. Asset: Think
of your house. not only from an emotional perspective, but, also, as
the most significant asset, in your portfolio! Protect it, by preparing
for potential eventualities!

5. Nervous: It’s
normal, to be, somewhat, nervous, about being a homeowner. The better
you plan, and prepare, the happier, and least stressed, you will be!

6. Choices: You’ll
face several choices, throughout the process, from the house – hunting,
beginning, to owning a house. What kind of house, and property, do you
need, will meet foreseeable future needs, and will satisfy, much of what
you want, seek and desire? What renovations, upgrades, etc, might align
with both your emotional, as well as logical components?

7. Emphasis: Don’t try to keep up, with the Jones’, but determine what’s most important to you, and where you should place, your emphasis!

8. Service; solution: What will serve you, and what is your solution, to aligning and coordinating, your approach, in a head/ heart balance?

The wisest homeowners consider, and prepare, their FINANCES. Will you be, your best friend, or, own, worst enemy?

Why
is home ownership, often considered, a core component, of the so –
called, American Dream? Although every potential home buyer, seeks some
different things, perhaps, unique to him, nearly all, enter the process,
and period, with specific wishes, and HOPES, so it
creates a meaningful, motivating experience. If one begins the process,
by focusing on what he seeks, in his own home, as well as, can
realistically afford (without becoming home – rich, but otherwise, poor
and stressed), the normal and stresses and strains, doubts and
insecurities, will be far more limited, and severe! With that in mind,
this article will attempt to briefly, consider, examine, review, and
discuss, using the mnemonic approach, what this means and represents,
and why, smart buyers, will pay some attention to some of these core
ideas.

1. Heart; heating: The heart of a home,
must focus on, the essential bones, of the specific property. A smart
buyer recognizes, while one can alter, and amend, the cosmetic aspects
of a house, such as painting, flooring, etc, with a minimum of hassle
and costs, if the main components, of the property, are weakened, and/
or compromised, you may be purchasing a Money Pit, instead of an
enjoyable place to live! Carefully inspect, and consider, the condition,
age, and effectiveness of the heating and air – conditioning (HVAC), as
well as overall, air quality! Consider, how long, you will be
satisfied, with items, such as your kitchen, and bathrooms, because, if
this will need renovation, in the near future, a wise home buyer, will
factor that additional cost, into his financial estimates, and
abilities.

2. Options; opportunities; organized: Is
the way, the particular house, is set – up, and organized, something,
which you feel, will fit your needs, goals, and personality? Are there
any specific options, which you believe, are essential and relevant, to
your potential, to fully enjoy, the house? If there’s something, you
aren’t 100%, in love with, are there realistic opportunities, to make
certain changes?

3. Priorities; perceptions; pricing: Begin with your eyes – wide – open!
Seriously, know, and abide by, your personal comfort zone, in terms of
pricing, including the selling price, and the costs of any renovations,
etc, you will make, in the first year, or two. Does this home, align
with your personal perceptions, of where you want to live?

4. Emphasis; energize; energy costs; efficiency: Know
your personal emphasis, from the start! A new home should energize you,
in a positive manner. Don’t forget to seriously consider, total energy
costs, as well as your monthly payments, including, principal, interest,
real estate taxes, escrow, and costs of utilities! If you proceed, with
a realistic perspective, the process, and adjustment, will be more
efficient, and satisfying!

5. Strengths; service; sustainable; systems: Know
the house’s strengths and weaknesses, before buying it! Do the
strengths, outweigh the potential weaknesses? Will it service your
present needs, as well as into the sustainable future? Be certain, all
major systems, are in good, reliable, working order, from the start!

When a potential homeowner, focuses on the HOPES of
buying a specific house, he becomes more capable of making a wise
decision. Since, for most, his house represents his single – largest,
financial asset, doesn’t that make sense?

Although,
we often, consider, home ownership, as one of the core ingredients, in
the American Dream, the financial realities of doing so, often, begins,
with buying a starter home, rather than, the home of one’s dreams! As a
Licensed Real Estate Salesperson, in the State of New York, I have often
discussed, this concept and approach, as opposed to simply, waiting,
and hoping, for the ability, in the future, to buy something else. Life
is evolving, and our needs, goals, priorities, and perceptions, often,
change over time. Many of us, must, decide, if buying something, focused
on now, rather than for the longer – term, may be a smart approach, and
alternative, to merely, renting. With that in mind, this article will
attempt to briefly, consider, examine, review, and discuss, some
reasons, for purchasing, a starter house.

1. Renting versus buying: When
one rents, all the funds, are merely expenses, and go, to your
landlord. They become, similar to, paying monthly charges for utilities,
and bills. If there is an affordable way, to purchase a house, rather
than, merely, renting, you become to build – up, and create, a genuine
asset, which usually grows, over time! Wouldn’t you benefit, in a real
way, from creating value from your monthly home payments, and,
eventually, being able to use the proceeds, towards a down – payment,
for something, closer to your dream home? If you have collected, at
least some funds (or a family member will provide you, with it), then, a
starter home, may be a good idea, for you, and your needs, and
priorities!

2. What is a starter home?: What is
meant, by a starter house? Generally, it means, accepting your current
financial abilities, and situation, and creating a process, for building
up your total assets, when the time comes. Since, needs, goals,
priorities, etc, change and evolve, over time, as long, as this home,
meets your current needs, as well as an apartment rental might, it’s
often, a smart approach! Many younger couples begin this way, before
they have families, or other needs. Sometimes, this permits someone to
sell, and buy something more appropriate in the future, while, for
others, if the property and neighborhood, permit (and it makes sense),
you might expand it, renovate, and enjoy living there, for a longer-
term.

Historically, real estate has been, one of the best overall
investments, because it handles, both our housing needs, as well as
builds equity, while doing so. Since, for most, our house represents our
single, biggest, financial asset, doesn’t it make sense, to take
advantage of, the possibilities?

While
home ownership is often considered, from an emotional perspective, as
an important component, of the so – called, American Dream, achieving
one’s objective, requires consistent effort, planning, focus, and
attention, in order to ensure, your personal credit and other economic
considerations, doesn’t interfere with getting, what you seek, and
desire! One must open – his – eyes, and look at the bigger picture, and
objective, in a realistic, well – considered manner. This means, having a
strategy, preparing, well, in advance, proceeding with well –
considered, priorities, and addressing, some of the economic challenges,
etc. With that in mind, this article will attempt to, briefly,
consider, examine, review, and discuss, what I refer to, as the RICH IDEAS of smart planning.

1. Responsible; relevant; rationale/ rational: Only
when one, commits to responsible behavior, in the period, at least a
few years, before you begin your search, for a new home, and prioritizes
relevant actions (keeping the goal and objective, as a priority), in a
rational way, will you reduce the stress of buying a house. Your
rationale must be the big picture, which means, acting responsibly,
avoiding unnecessary debt, preserving and saving money, and building
financial reserves.

2. Imagination: Imagine what
you want, and know, why you do? Realistically, know, both, what you can
afford, as well as your personal comfort zone, in terms of home –
related obligations. Be prepared!

3. Can – do; creative; credit: Focus
on what you can – do, instead of, merely, why you can’t! Seek a
creative course of action, leading up to the search, so you might,
maximize your credit worthiness, in order to obtain a mortgage, with a
minimum of stress, and, on the best terms!

4. Head/ heart: Purchasing
a house, requires proceeding, with the finest aspects, of, both, your
emotional and logical components. This head/ heart balance, is needed,
to be capable of effectively handling, the obstacles, we witness, during
this process!

5. Issues: One can obtain, without
charge, a copy of his credit report, once, per year. Do so, beginning a
couple of years, prior to your home search, so you can address any
issues, that need, to be addressed, etc.

6. Delve deeply; discover: It’s
important to delve deeply, into every aspect of your personal financial
picture. Discover, both, the strengths and weaknesses, and begin fixing
any weakness, as soon as possible!

7. Economics; efforts; examine: Examine each economic/ financial aspect, and focus your efforts, in order to, be as prepared, as possible!

Since,
for most Americans, their house, represents their single, biggest,
financial asset. Therefore, doesn’t it seem, to make very little sense,
that, when people are ready to purchase their first HOME,
or upgrade to a new one, they appear to often, do so, in a rather,
haphazard manner. Wouldn’t it make more sense, if, before buying any
specific home, we took the time, and fully considers, what we,
personally, sought, and hoped for, in the place, where we will hang our hat?
Obviously, we need to consider, economic and financial considerations,
so we avoid the so – called, Money Pit, where we become house – rich,
but overwhelmed by the obstacles and challenges. However, unless, we,
also, fully consider, what we are looking for, and might make us happy/
satisfied, it doesn’t make sense, to proceed. With that in mind, this
article will attempt to, briefly, consider, examine, review, and
discuss, using the mnemonic approach, what this means, and represents,
and makes sense, to consider, from the beginning of the house hunting.

1. Happiness/ healing/ heart; heating: Living,
where you do, should bring you happiness, and self – fulfillment! It
should bring you, a healing heart, and spirit! However, major systems of
a house, must function effectively, and easily, such as heating, air
conditioning, and other major and minor systems, which might impact,
your enjoyment of the particular home!

2. Objectives; option; organized; opportunities: Before
you begin, take an introspective, objective look. and fully consider
your personal objectives, needs, goals and priorities. Which home
options, might be most useful, in making you more fulfilled, and happy,
living in a specific home? Observe how it is organized, and consider,
if, it serves your needs, as is, or, might be easily adaptable (in a
somewhat, inexpensive way), to do so! Consider, your immediate, as well
as longer – terms needs, and purposes, and whether, you desire, to live
there, for a temporary, or a longer period. Recognize those
opportunities, this house might present, to serve your needs, in terms
of the interior, exterior, neighborhood, school system, and other
conveniences.

3. Motivating; meaningful; manageable: Is
this house, manageable, or, would it overwhelm you? Is it worth, the
effort? What is most meaningful to you, when you consider making this
type of significant commitment? Your home must be motivating and
inspiring, to your life, as a whole!

4. Energy/ energize; efforts; emphasis; excellence: Be
realistic, but seek a degree of excellence, rather than settling,
merely for, good – enough! What do you consider, your major emphasis? Is
this prospective place, worth your efforts? Will it energize you, and
meet your needs, goals, and aspirations, providing you with extra
energy?

A house may not be a HOME. When it’s time to purchase one, seek a house, which you’ll make, a home, of your own!

After
well over a decade, as a Real Estate Licensed Salesperson, in the State
of New York, I have observed, that the vast number of individuals, pay,
far too little attention, to one of the most significant parts of a
house. While it may be, more fun, and more enjoyable, looking at the
kitchen, bedrooms, and beautiful bathrooms, a wise, educated, house –
hunter, begins by taking a close look, at the basement. It’s amazing how
much, might be learned, when one looks there, including: some major
core components; any existing, or previous structural damage; whether
there is a water issue; and what, is often, referred to, as the, bones of the house.
With that in mind, this article will attempt to briefly, consider,
examine, review, and discuss. some of the reason, a house’s basement,
often, indicates so much about the home, itself.

1. Heating System: In
the overwhelming number of instances, the major core, of a house’s
heating system, is located in the basement. First, is the system,
electrical, oil, or gas, or any combination, including alternatives,
such as solar and geo – thermal? What is the age, and condition, of the
burner, and boiler? How noisy or quiet is it? How often has it be
serviced? Are there any odors, etc? How is it vented, etc?

2. Electrical: Look
at the electric box. What level of service is in the house, 100 amp, or
220 amp? How neat, organized, and clearly labeled, is the box? If there
is any need, to address future electrical issues, how easily might, an
electrician, be able to locate, the root/ cause, of the problem?

3. Water: How old is the hot water tank? What condition is it in?

4. Finished legally: Are
the finished parts of the basement, legally done, with proper permits,
inspections, etc? Are there any indications of excessive moisture, or a
concerning odor?

5. Water Damage: Does there
appear to be, any indication of past water damage? Look at the walls,
floors, and ask, pointing questions, to discover, whether there has ever
been damage, etc! Is there any built – in, dehumidifier, etc?

6. Structural: Inspect
the beams, and other structural supports, especially in exposed areas
(usually unfinished areas, such as near the burner/ boiler, utility
room, laundry room (false ceiling), and consider, whether there are any
signs of termites, carpenter ants, etc. Although, you may not notice any
issues, before purchasing, have a professional, inspect, to be certain,
you know, before you buy!

7. Neatness: The condition, and whether it’s neat and clean, is often, a clear indicator, of how well, the house, has been cared for.

You can generally change a kitchen, bathroom, and renovate/ upgrade, various parts of a house, but, unless, it’s got the bones,
you aren’t using a common sense approach, to buying a home! Will you
follow this logical approach, or merely, an emotional one?

There
are a number of reasons, individuals begin to search for a home, of
their own, or a new home. While some, are focused on their needs, goals,
and priorities, others become absorbed by the concepts of the so –
called, American Dream, of owning a home, of your own! Smart home buyers
must be ready, and prepared, to proceed, with their eyes – wide – open, so they clearly, KNOW, what
they seek, and what they might afford, as well as what will serve their
needs, both today, and into the future. With that in mind, this article
will attempt to briefly, consider, examine, review, and discuss, using
the mnemonic approach, what this means and represents, and why it
matters.

1. Knowledge; keep it; kitchen: How will
you decide, if a particular house, is best for you, and your true
needs? Will you take the time, and make the effort, to learn, as much as
possible, about the options and alternatives, as well as relevant
aspects, and use your knowledge, to make you, a smarter, better prepared
consumer? Are you considering, using this house, as a starter home, or
will you keep it, into the foreseeable future? Why do you believe you
will be happy, and well – served, living there?

2. Needs; nuances; niche; necessities: How
will you determine your needs, goals, priorities, etc? How will a
particular house, make you happier, and satisfy your need? Are there,
specific nuances, which you believe, are most essential, to being happy,
in your home? Would you identify, with some specific niche, and why? If
you considered things carefully, can you differentiate between
necessities/ priorities, and your personal, wish list?

3. Objectives; options; organized; optimize: Begin
your house hunting, process, by clearing understanding and knowing your
personal objectives! What specific options, are most important, for
your present, and anticipated future, life style? Is the specific house,
capable of being organized, to address your priorities, and is it
possible to optimize your living experiences?

4. When; why; where; what; wonderful: When
do you want to move in, and when do you need to? Why are you looking
for a home, and this specific one? Is it located, where you will be best
– served? What is needed, and necessary, to make your living
experience, more wonderful?

Before you commit to buying, the best home, for you, KNOW what you need to know, and be prepared, as well as what, you seek, to be happy there! Will you commit to the process?